MKTG400: Branding Week 7 Assignment
Choose a Fortune 500 Company or a company from one of our textbooks, and in a 3 – 5 page essay, answer the following questions:
Which company do you admire for building strong customer relationships?
How did this company build these relationships?
Did they develop branded differentiators that have made a difference?
What are the lessons to be learned?
This assignment must be in APA format and make sure to provide at least two outside sources to support your work.
Branding Week 7 Assignment
Fortune 500 global involves yearly ranking of the top 500 companies globally as measured by the revenue. The list encompasses publicly and privately held firms for which the revenues are publicly accessible.
Company I Admire for Building Strong Customer Relations
The company I admire for its act of building strong customer relations is Walmart Inc. which is among the top Fortune 500 Companies. Walmart Inc. is an American international retail firm that runs a chain of supermarkets, discount department-based, and grocery stores from the United States. Walmart has its headquarters in Bentonville, Arkansas. This company was initiated by Mr. Sam Walton in 1962 and was combined under Delaware General Corporation Law on October 31 October 31, 1969. Renowned for its economic, one-stop shopping involvement, Walmart swiftly seized market share through aggressively weakening small-town stores (Neebe.,2020). By 2001, Walmart overtook Exxon Mobil to be the world’s largest firm by revenue.
How Walmart Built Customer Relationships
Customer relation is the process businesses use to engage with the customers fostering long-term relations with them. This particular process can lead to positive results like high customer retention and improved customer lifetime value when completed appropriately. Wall mart is recognized for its ability to build customer relations. Its management relies on the key essential components. First, it personalizes customer relationships. This company is aware that keeping the customers happy and satisfied is important. Connecting with the customers personally is key to creating a long and reliable relationship with the business. Thus, for a strong customer relationship, Walmart observes the winning formula that goes, “Let the customer know they are appreciated.” To reveal that they appreciate the customers, it uses a direct relationship marketing strategy, completed by a famous Wal-Mart greeter. The company greeting was an original way applied to show their customers are appreciated. Greeter at the door thanks the clients for visiting, helps with the shopping cart, and affords “goodbye thank you” on leaving the store (Carson.,2017). The welcoming senior citizen in a blue vest portrays personality and warmth to each visitor exiting or entering Wal-Mart store. The second way Walmart built its customer’s trust is by prioritizing the customer experience. Customer experience is an essential part of strategies for maintaining customer relationships. Walmart witnesses three valuable benefits of customer relationships: customer retention, loyalty, and referrals. These benefits pose a direct impact on the revenue of the business. As a result of customers’ loyalty, their lifetime worth has increased, and there’re chances of endorsing this company to potential new clients.
Thirdly, Walmart relied on employee training. The company spent money and time on its staff to make sure that the philosophy of its owner was introduced to all new employees. Wal-Mart trained its employees on exceptional customer skills believing that if clients get whatever they want at a reasonable price, they keep coming back to the store (Carson.,2017). Additionally, Wal-Mart has been capitalizing on its money in sustaining relations with its present customers. Wal-Mart established long-standing relations with its key loyal customers by targeting this particular group. Targeting the customers via plans that usually reward their loyalty may effect big returns over customers’ life. Besides, this company instilled customer service etiquette. This is vital in every side of their business as providing superior service is the best way to reinforce customer relationships. The key customer service etiquette Walmart has been following includes using positive words and phrases. For instance, phrases like my apologies and I am sorry are used, whereas negative phrases such as I do not know and no problem are avoided.
If Walmart Developed Branded Differentiators That Have Helped Make Difference
A branded differentiator is an exceptional feature or benefit of products or services that set it apart from the competing brands (Yohn.,2018). A sole differentiator or robust set of differentiators form the basis of how a company establishes a competitive advantage. Walmart developed branded differentiators to succeed through creating unique products and services for the customers. According to this company, whether the feature is real or just in clients’ minds, the customers should trust they’re provided something exceptional. Their products have been marketed to make the clients feel it’s exclusive to the store. Walmart has succeeded in these branded differentiators by providing exceptional warranties and brand images. The customers trust they’re provided with something not offered by any other store’s competitors. This has greatly helped in making a difference in the company.
Lessons To Be Learned
One lesson that can be learned is that customer relations are significant in business companies as they can lead to positive results such as high customer retention and improved customer lifetime value. The results are key to growth in terms of profits that help meet the set goals for these companies. Though, these relations have ways that they can be built through. For example, just like Walmart, other business companies can embrace customers’ happiness and satisfaction, prioritize the customer experience, train their employees and instill customer service etiquette for excellent clients’ relations. Another important lesson is that business companies can have an excellent positive chance to make a difference through developing branded differentiators. A good example is that of Walmart, where as a result, its customers trust they’re provided with services and products not offered by any of the store’s competitors.
Carson. (2017). What is customer focus? Retrieved from https://bizfluent.com/info-8398763-customer-focus.html
Neebe, K. (2020). Sustainability at Walmart: Success over the long haul. Journal of Applied Corporate Finance, 32(2), 64-71. https://doi.org/10.1111/jacf.12405
Yohn. (2018, September 6 September 6). How to determine your key brand differentiators – “scale-up your brand” Series. Retrieved from https://deniseleeyohn.com/scale-up-your-brand-determine-your-key-brand-differentiators/#